1. Carefully review your credit report.
Just because you have not given much attention to your credit does not mean that your credit report is a blank paper. Such report is quite long and has more vital information than those about your credit. It will have some of your personal info such as your date of birth, employer, and address.
Before you begin working toward a good credit score, see to it that everything stated in your credit report is correct. Credit card folks certainly do make honest mistakes. So be sure that you go through your it carefully and regularly.
2. Start small.
Start with a card that caters to your needs. If you’re a college student, get a student credit card. A student card is designed for younger users who generally do not meet the qualifications for a high-end card that offers rewards. However, there are some who offer other rewards like cash back. If you have a thinner file or a lower credit score, you could apply for a secured credit card. This kind of card, guarantees approval, in general. This type of credit card requires a case deposit serving as your credit limit. Often, this deposit ranges from $300-500. A secured card is a good choice if you’re simply starting out, as the risk is low.
3. Use your credit card sensibly and then upgrade.
When you’re building your credit, you will want to pay your debts in a timely and consistent manner. The best way to do so is through making a few purchases on a monthly basis, and pay off your debt by the due date. Do so for at least around. Then try to get a second card. If the first card that you used is a secured credit card, ask your creditor if it could be converted to a conventional credit card. Continue with those responsible habits that you’ve created with your first card.
4. Be aware of and monitor your credit score.
As you start building your credit score, you will notice the impact on your creditworthiness. But how does the credit card bureau measure this? Go through your credit score. There’s a three-digit number that boils down your credit history and credit report. It tells credit card providers, whether or not it is good to give you the opportunity for a credit.